Define: Insolvency

UK Accounting Glossary

Definition: Insolvency


Quick Summary of Insolvency


A state where an individual or organisation can no longer meet financial obligations with lender(s) when their debts come due.



What is the dictionary definition of Insolvency?

Dictionary Definition


  1. The condition of being insolvent; the state or condition of a person who is insolvent; the condition of one who is unable to pay his debts as they fall due, or in the usual course of trade and business; as, a merchant’s insolvency.
  2. Insufficiency to discharge all debts of the owner; as, the insolvency of an estate.
  3. The condition of having more debts than assets.

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Full Definition of Insolvency



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Insolvency FAQ's



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https://payrollheaven.com/define/insolvency/
Modern Language Association (MLA):
Insolvency. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. September 16, 2019 https://payrollheaven.com/define/insolvency/.
Chicago Manual of Style (CMS):
Insolvency. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/insolvency/ (accessed: September 16, 2019).
American Psychological Association (APA):
Insolvency. PayrollHeaven.com. Retrieved September 16, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/insolvency/

Definition Sources


Definitions for Insolvency are sourced/syndicated from:


This glossary post was last updated: 24th December 2018.